The Acting Director General of the Bureau of Public Enterprises (BPE), Dr. Vincent Akpotaire, has clarified that the Bureau did not initiate nor received the much publicized N27billion Insurance deal for the staff of the defunct Power Holding of Nigeria (PHCN).

The BPE Boss also reiterated that the agency had no official knowledge an investigation into the N27 billion Power Holding Company of Nigeria insurance payment by the Economic and Financial Crimes Commission (EFCC).

Dr. Akpotaire made these clarifications during the follow-up meeting with Members of the House of Representatives Investigative Panel on alleged insurance fraud in Ministries, Departments and Agencies (MDAs) on Monday, November 21, 2016.

The Bureau in its submission further clarified that the request for payment of the Insurance Premium was submitted by the Ministry of Power to National Council on Privatisation (NCP), of which the Bureau is its secretariat to deliberate on. The payment was approved by relevant organs and paid by the Office of the Accountant General of the Federation (OAGF) in 2014. The BPE categorically stated that though the payment was considered a transaction related expense for staff of PHCN, it was not for staff or properties of the Bureau.

The BPE also explained that there was no requirement that propels an agency to liaise with NAICOM in the appointment of Underwriters and Brokers, though the Bureau as a matter of policy ensure that all companies it shortlists have valid operating licenses based on NAICOM’s releases and website.

The Bureau also clarified that it evolved a system of retaining the lead brokers and underwriters over the years in order to enjoy the 50% Long Term Account Discount for long term relationships, as this helped the Bureau build its insurance history.

After the submission of the Bureau, the Ad-Hoc Investigative Committee Chairman, Honourable Adekunle Akinlade,. advised that while there was no requirement that propels the Bureau or any agency to liaise with NAICOM in the appointment of underwriters and brokers, it was pertinent, going forward, for the Bureau to liaise with NAICOM to verify the insurance companies it has selected to transact business with. The committee stated that it was the intention of the House of Representatives to strengthen government institutions.

The Chairman enjoined the BPE, and indeed all government agencies to always ensure that new entrants into businesses in any sector are given equal opportunity to display their expertise and capabilities. He said members would review the new submission and make appropriate recommendation to the House.